HUGE BEAT ON THE JOBS REPORT

Getty Images The US economy added 255,000 jobs in July, many more than expected, while the unemployment rate was unchanged at 4.9%.

Industries including hospitality and healthcare saw the largest job gains during the month. The return of striking Verizon workers who subtracted from the May jobs report also boosted the gains in July.

And so the July jobs report marks a second straight month of strong job gains and should put away recent concerns about a hiring slowdown in the economy. As we approach the elections, it could give Democratic presidential nominee Hillary Clinton a stronger argument for the status quo.

"Overall, the markets have kind of reflected this risk-on environment here and are anticipating that earnings will be relatively strong going forward," said Tony Bedikian, managing director and head of global markets at Citizens Bank. Stock futures soared after the jobs report.

"As long as consumers are working and they're getting paid well, they should be a tailwind for spending going forward," Bedikian told Business Insider.

The labor-force participation rate rose to 62.8%. It was being closely watched again to gauge whether a record number of job openings drew people into the labor force.

The rate has steadily declined in recent years, partly because of baby-boomer retirements. But at the same time, there are fewer people outside the labor market finding jobs — suggesting that the economy is near or at full employment.

Virtually no one is expecting the Federal Reserve to raise interest rates at its meeting in September. But after the jobs report, fed fund futures, which reflect traders' expectations for rates, increased to show a 50-50 chance of a rate hike in January.